Chronicles Of Depression 2.0: #225

Lawmakers raised doubts Monday about what would be the largest government bailout in American history, but a bigger, more terrifying question lurked right under the surface: What if it doesn’t work?

Failure, says one insider, is not an option.

“The alternative is complete financial Armageddon and a great depression,” said a former Federal Reserve official. “Where do they go after this? Well, the U.S. government could nationalize the banking system outright.”

Emphasis added by me.

What the fuck do you think I’ve been screaming about since January?!!?

While almost no one wants to dwell publicly on the possibility that a $700 billion package could simply be too small to forestall a financial meltdown, privately some aides were already thinking of what the government might do if the Treasury plan passes but fails.

Emphasis added by me.

And you’ll hear it here first now too: The bailout will FAIL.

They are applying old self-destructive greedy solutions to a problem that requires — for lack of a better business-y term — massive amounts of Slack.

Slack!

This is not something any of them are prepared to give.

And since they want to keep holding tight, they will strangle to death the very thing they’re trying to save.

They are seeking a logical solution. This requires a stochastic solution.

Unless, so disgusted with themselves, they invoke Spite and burn down the entire fucking jungle.